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Document Details :
Title: Economic Aspects of Securization of Risk
Author(s): COX, S.H. , FAIRCHILD, J.R. , PEDERSEN, H.W.
Journal: ASTIN Bulletin
Volume: 30 Issue: 1 Date: May 2000
This paper explains securitization of insurance risk by describing its essential components and its economic rationale. We use examples and describe
recent securitization transactions. We explore the key ideas without abstract mathematics. Insurance-based securitizations improve opportunities for all investors. Relative to traditional reinsurance, securitizations provide larger amounts of coverage and more innovative contract terms.